Facebook, Google on Common Ground

The evening session of day one of the WSJ Tech Café saw Facebook and Google, arguably the two most important Internet companies, on stage facing each other.

But Facebook’s Richard Allan and Google’s DJ Collins, both of whom head their respective organizations’ public-policy departments for Europe, Middle East and Africa, agreed on a lot more than they disagreed. At times the two were a bit like a double act, ribbing each other.

“The idea that one person is going to win it all is ridiculous. It doesn’t work like that,” said Mr. Collins, refuting suggestions that the two were head-to-head competitors.

With their backgrounds in U.K. politics (Mr. Allan, technically Lord Allan, is a Liberal Democrat peer, and Mr. Collins worked with the last Labour administration) and working in the politically charged environment of public policy, both were skilled in sticking to the party line. Mr. Allan several times quoted Facebook CEO Mark Zuckerberg; Mr. Collins, no matter how many times he was asked, stuck to the party line that Google+, the company’s fledgling social network, was performing as the company had hoped. He wouldn’t be drawn on what those hopes were.

Other areas touched on included:

Mobile: Mr. Allan stated, “We are a mobile company,” which might surprise some commentators who have linked Facebook’s share-price plummet to questions over its mobile strategy. Both stressed the huge growth in Internet connections from mobile devices and the opportunities in emerging nations.

Regulation: Mr. Allan contrasted the European approach to regulation with that of the U.S. The U.S. tends to look for a market solution first and then regulate; Europe, he said, had a tendency to go to regulation first. “A market-driven solution may not be ideal, but it is likely to be effective,” he said. Mr. Collins criticized some parts of Europe for taking a “permission to innovate” approach; yes, innovation is encouraged, but only if you seek permission first.

Europe: The biggest problem in Europe is the lack of a proper single market; in theory there is one, in practice it doesn’t exist.

Open vs. Closed: Mr. Allan suggested that open will always win, although as one member of the audience pointed out, while Facebook’s APIs are open, of course they are under Facebook’s control, so is that really open?

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